Dec 13, 2024 | Exclusion of Taxable Gain, PG&E Settlement
President Biden has signed HR 5863 which excludes the PG&E Fire Victims Trust payments from Federal income for most taxpayers. (Note: California already excluded the payments from income so this bill covers Federal taxes only). Key features of the law: If an...
May 24, 2024 | Disaster Relief, PG&E Settlement
Last year the House passed the Tax Relief for American Families and Workers Act which would have made Fire Victims Trust payments non-taxable at the Federal level, but that bill is stalled in Congress for political reasons. The House just passed another bill focused...
Jan 16, 2024 | Casualty Gain, Exclusion of Taxable Gain, Federal Disaster Declaration, PG&E Settlement
Congress has announced it has reached a budget deal that includes Federal tax relief for individuals who received settlement income related to wildfires. As of this writing, the bill has not passed yet, but assuming it does, The Tax Relief for American Families and...
Sep 1, 2022 | PG&E Settlement
Good news for California residents who have received settlements from the PG&E Fire Victims Trust (FVT) or the Southern California Edison Settlement. Last night, both houses of the California legislature passed AB1249 and SB1246 and the Governor is expected to...
Jul 11, 2022 | Casualty Gain, PG&E Settlement
On June 28th, the Commissioner of the IRS responded to a request by Congressman Mike Thompson and Congressman Doug LaMalfa requesting guidance on the taxability of the settlement funds received from the Fire Victims Trust (FVT). The IRS letter echoed articles you have...
Jun 22, 2022 | Exclusion of Taxable Gain, PG&E Settlement
As we’ve discussed in earlier posts on this site, for most taxpayers, the settlements from PG&E will be partially or fully taxable. However, relief from California tax may be coming via AB1249. What is AB1249? AB1249 would exclude the PG&E settlement...